Benefits in Kind

mdmd1410

Can anyone advise when a Benefit in Kind stops being a Benefit in Kind? I worked for a major high street bank until May 2010 but am still entitled to a concessionary mortgage rate. Given that I am no longer an employee, does that mean that the concessionary mortgage is no longer classed as a Benefit in Kind? Giving me no end of grief with HMRC!

antrobus

mdmd1410 wrote: »

Can anyone advise when a Benefit in Kind stops being a Benefit in Kind? I worked for a major high street bank until May 2010 but am still entitled to a concessionary mortgage rate. Given that I am no longer an employee, does that mean that the concessionary mortgage is no longer classed as a Benefit in Kind? Giving me no end of grief with HMRC!

Off the top of me'hed, I'd guess that for the;

Tax year 2010-2011 it would be a benefit in kind because you worked for the bank during that year, and so the info will be on your P11D for that year

Tax year 2011-2012 it would cease to be a benefit in kind, simply because you no longer work for the bank, and thus the bank will not a submit a P11D return.

But I could be wrong.

taxing

Hi

It continues to be a BIK as you have that rate because of an employment and not because it is generally available to the public.

If the 'employer' is offering mortgages at better rates than you have you would maybe have a case to argue no 'benefit' as the loan is at a rate generally available to all customers (so it is at a commercial rate).

Kind Regards